Kalispell City Council weighs funding options for service line replacement

Kalispell Public Works officials say they have identified and logged 10,000 service lines hooking into the city’s water system with about 600 left to go ahead of a looming federal deadline.  

Revisions to the Environmental Protection Agency’s Lead and Copper Rule have required public water systems to conduct tap sampling and submit a publicly accessible inventory of all service lines by Oct. 16. 

Service lines connect homes and buildings with the water main. While the pipes are considered customer-owned property, current federal rules identify them as part of the water system and therefore the municipality’s responsibility, according to Public Works Director Susie Turner. 

Updating Kalispell City Council on Aug. 26, Turner said Public Works employees have begun going door-to-door, asking to enter homes to identify the make of service lines.  

The department’s website also provides a link for residents to fill out a service line identification survey.  

The city must give notice of lead or suspected lead in a customer’s service line within 30 days of the October deadline. Turner said that Kalispell’s lead count is well under the EPA’s limit of 10 micrograms per liter.  

The most common way lead enters drinking water is through the corrosion of lead or galvanized iron plumbing that is mostly found in older homes, according to the EPA. The highly toxic pollutant can damage neurological, cardiovascular, immunological developmental and other body systems. 

Turner told Council she anticipates the EPA will adopt proposed changes to the Lead and Copper Rule that will require further sampling and a complete lead service line replacement by 2037. 

Turner expected the project to cost $2.6 million. It would see around 100 service lines replaced at roughly $20,000 per line. She said that several construction factors can alter the cost for replacing individual lines.  

Turner presented two possible options to fund the project, one of which would be to apply for a loan from the State Revolving Fund. The loan would cover the entire project cost though the city would need to pay back 40% of the total with interest. That money, estimated at $1.2 million, would come from the city’s water fund. The water fund is separate from the city’s general fund. 

Turner said she didn’t know if the project would increase rates.  

“That comes when I do the full application,” she said.  

A second option would see the city front the initial replacement but would require customers possessing a lead service line to pay back the cost over eight years. 

Councilor Ryan Hunter advocated for use of the loan, saying that some households may not have been aware of lead piping and may be unable to pay the cost to replace it. Hunter weighed a possible rate increase across the board due to the loan compared to a heightened cost placed on certain households.   

Mayor Mark Johnson said it was typical of the government to provide a loan that the public must pay back, rather than directing the cost to only those affected.  

“Because that would make too much common sense,” he said.  

Johnson said he previously lived in a house with a lead service line, which he replaced with his brothers.  

“It’s our house, we are going to pay for it,” he said.  

“If you throw it all on rates, why would anyone take care of their own property?” Johnson added. “I should quit mowing my lawn, the Parks Department can do it.” 

Johnson tabled the discussion, requesting further information on how rates may be affected by the project.  

COUNCIL ALSO discussed the Kalispell Golf Association’s request to renew its lease on Buffalo Hill Golf Course.  

As its 20-year lease comes to an end, the association is seeking a 30-year agreement with several revisions that include permission to make improvements up to $75,000 without City Hall’s approval. 

Language regarding the creation of a connection to the trail system along U.S. 93 from U.S. 2 going north is also included in the lease. City Manager Doug Rusell said that Kalispell previously had a grant for the connection, but the Montana Department of Transportation shot it down because of its proximity to the highway.  

Hunter voiced disproval of the existing arrangement, saying that the golf association is using and maintaining the city’s infrastructure without payment to the city.  

“I think it is pretty wild,” he said.  

He suggested imposing a market rate cost for leasing city land that the association would pay. 

Councilor Sandy Carlson, a self-proclaimed avid golfer and member of the association, said that the Governor’s Cup and other golf tournaments lure consumers to Kalispell who use the city’s hotels and restaurants, bringing in revenue.  

Councilors Chad Graham and Sam Nunnally also noted that the land is used by non-golfers.  

“They’ve been I think an incredible neighbor and benefit,” Councilor Kari Gabriel said, saying the golf course’s presence improved property values in the city. “I don’t golf so I’m not being paid for my comments.”  

Representatives of the association were present at the meeting but did not provide comment.  

Reporter Jack Underhill can be reached at junderhill@dailyinterlake.com and 758-4407.